FORT COLLINS — TurboTenant, a startup offering online solutions for residential landlords, raised $1.5 million in capital from an investor group led by Denver’s FrontRange Capital Partners LLC.
Fort Collins-based TurboTenant will use those funds to grow the brand, adding additional landlord clients, broadening its products and expanding its management team.
Longmont Area Chamber of Commerce workers’ compensation safety group program received a group dividend of $308,806 from Colorado’s largest workers’ compensation insurer Pinnacol Assurance. Safety group policyholders who contributed to the overall success of the group during this group year were eligible to receive a portion of the dividend.
“TurboTenant is helping independent landlords drive revenue and performance by greatly simplifying the way they rent and manage their properties,” Sarnen Steinbarth, chief executive and founder of TurboTenant, said in a prepared statement. The response from landlords has been tremendous.”
After launching a year ago, Steinbarth said the company has added more than 30,000 landlords to its platform and is growing by 10 percent per month. The company operates by offering independent landlords tools that previously were available only to large property-management companies, such as online rental applications, tenant credit and background reports, automated marketing and other services. TurboTenant’s features are free for landlords. Rental applicants pay a fee, and renters pay a small fee per payment.
“This round of funding allows us to accelerate our growth and expand our suite of products to keep up with the demands of our growing customer base and help our independent residential landlords better compete with the large institutional operators,” Steinbarth said.
After launching last year, TurboTenant got early seed funding from Crescendo Capital Partners. Mark Hopkins, founder of Crescendo Capital Partners, and Steinbarth will be joined on the TurboTenant board by Glenn Russo, former president of Zayo Group; David Robertson, CEO of FrontRange Capital Partners; and FrontRange investors David Prokupek, the former CEO of Smashburger and Jackson Hewitt, and Chuck Davis, CEO of Swagbucks and formerly of Fandango and Shopzilla.
“We are pleased to lead this $1.5 million growth financing round to help build on the tremendous product offering Sarnen and his team have developed with the backing of Crescendo Capital Partners,” Robertson said in a prepared statement. “Our goal is to provide TurboTenant with the financial and human capital support they need to further accelerate their growth.”